Smith's Food & Drug Centers, Inc. v. Arizona Department of Revenue

OPINION

KLEINSCHMIDT, Judge.

The question in this case is whether the taxpayer, Smith’s Food & Drug Center’s Inc., is entitled to subtract the amount it paid in federal income tax from its Arizona income tax for the year 1990. The resolution of the question turns on whether Smith’s tax year began before the effective date of the repeal of the law that allowed such a subtraction. We hold that Smith’s tax year did not begin before the effective date of the repeal, and we affirm the summary judgment that the tax court entered in favor of the Arizona Department of Revenue.

FACTS

Arizona’s current…